Problem: Ying Import has several bond issues outstanding, each making semiannual interest payments. The bond are listed in the following table. If the corporate tax rate is 32%, what is the aftertax cost of Ying's Debt?
BOND COUPON RATE RICE QUOTE MATURITY FACE VALUE 1 6.2% 104 6 25,000,000
2 7.5% 113 11 35,000,000
3 6.7% 104 25 41,000,000
4 7.9% 117 38 59,000,000